Managing Your Personal Finances Unit 7: Computing Discounts Take attendance – get phonetic spelling, nicknames

STANDARD 8.2 Students will be able to calculate discounts, double discounts and tips.

Lesson Goals I can calculate discounts. I can calculate double discounts. I can calculate tips.

Calculating Discount… Discount Terms Original Price The price the retailer originally thought he could sell the good or service for (retail price). Sale Price The price at which the retailer hopes a consumer feels she “has” to buy the good or service. Discount The percentage difference between the original and the sale price. Double Discount A discount on top of a discount.

Calculating Discount… Simple Discount-Working Together #1 What is the Sale Price of a shirt originally $30.00 with a Discount of 10% off? Original Price - Discount (Original Price * Sale Percentage) = Sale Price Step 1. $30.00 * 10% = $3.00 Step 2. $30.00 - $3.00 =$27.00 $ 30.00 - ___________ = $ Another way to calculate: 90% of $30.00 or $30.00 * 90% = $27.00

Calculating Discount… Simple Discount-Working Together #2 What is the Sale Price of a shirt originally $50.00 with a Discount of 15% off? Original Price - Discount (Original Price * Sale Percentage) = Sale Price Step 1. $50.00 * 15% = $_________ Step 2. $50.00 - $______ =$_______ $ 50.00 - ___________ = $ Another way to calculate: 85% of $50.00 or $50.00 * 85% = $______

Calculating Discount… Simple Discount-On Your Own #1 What is the Sale Price of a shirt originally $60.00 with a Discount of 25% off? Original Price - Discount (Original Price * Sale Percentage) = Sale Price Step 1. $60.00 * 25% = $_________ Step 2. $60.00 - $______ =$_______ $ 60.00 - ___________ = $ Another way to calculate: 75% of $60.00 or $60.00 * 75% = $______

Calculating Discount… Simple Discount-On Your Own #2 What is the Sale Price of a pair of pants originally $29.99 with a Discount of 15% off? Original Price - Discount (Original Price * Sale Percentage) = Sale Price Step 1. $29.99 * 15% = $_________ Step 2. $29.99 - $______ =$_______ $ 29.99 - ___________ = $ Another way to calculate: 85% of $29.99 or $29.99 * 85% = $______

Calculating Discount… Calculating the Percentage Discount-Working Together #1 What is the Percentage Discount of a shirt that was originally priced at $40.00 and you paid $30.00? % Discount =

Calculating Discount… Calculating the Percentage Discount-Working Together #2 What is the Percentage Discount of a shirt that was originally priced at $35.00 and you paid $27.00? % Discount =

Calculating Discount… Calculating the Percentage Discount-On Your Own #1 What is the Percentage Discount of a watch that was originally priced at $75.00 and you paid $65.00? % Discount =

Calculating Discount… Calculating the Percentage Discount-On Your Own #1 What is the Percentage Discount of a tie that was originally priced at $45.99 and you paid $38.99? % Discount =

Double Discount… Double Discounts are discounts on top of discounts. This is a technique used by retailers to convince consumers that they are getting a “really” good bargain. You will see signs like: “Marked down twice” “Reduced for clearance” “Take an additional 10% off at the register” “Discontinued Item”

Calculating Double Discount… Double Discount-Working Together #1: What is the Sale Price for a jogging suit that originally costs $100.00 with 50% Discount and an additional 50% Discount. Original Price - Discount = Sale Price - Additional Discount = Double Discount Price $ 100.00 - $ 50.00 = $ 50.00 - $ 25.00 = $ 25.00 Original Price x Sale 50% = Discount Sale Price (Original Price –Discount) Additional 50% off Of Sale Price New Price (Sale Price –Additional Off) $100.00   50% $50.00 25.00 $25.00

Calculating Double Discount… Double Discount-Working Together #2: What is the Sale Price for a jogging suit that originally costs $75.00 with 25% Discount and an additional 15% Discount. Original Price - Discount = Sale Price - Additional Discount = Double Discount Price $ 75.00 - $_____ = $_____ - $_____ = $_____ Original Price x Sale 25% = Discount Sale Price (Original Price –Discount) Additional 15% off Of Sale Price New Price (Sale Price –Additional Off)  

Calculating Double Discount… Double Discount-On Your Own #1: What is the Sale Price for a watch that originally costs $69.99 with 20% Discount and an additional 15% Discount. Original Price - Discount = Sale Price - Additional Discount = Double Discount Price $ 69.99 - $_____ = $_____ - $_____ = $_____ Original Price x Sale 20% = Discount Sale Price (Original Price –Discount) Additional 15% off Of Sale Price New Price (Sale Price –Additional Off)  

Calculating Double Discount… Double Discount-On Your Own #2: What is the Sale Price for a watch that originally costs $85.99 with 25% Discount and an additional 20% Discount. Original Price - Discount = Sale Price - Additional Discount = Double Discount Price $ 85.99 - $_____ = $_____ - $_____ = $_____ Original Price x Sale 20% = Discount Sale Price (Original Price –Discount) Additional 15% off Of Sale Price New Price (Sale Price –Additional Off)  

How Much Should You Tip at Restaurants? There are different rules for different kinds of restaurants and different levels of service. Generally, you should tip between 15-20% of the total bill (before taxes.) Working Together #1 What is a reasonable tip to leave for a restaurant bill of $100 (if you had good service)? $ 100.00 * 15% = $ 15.00

How Much Should You Tip at Restaurants? On Your Own #1 What is a reasonable tip to leave for a restaurant bill of $75.00 (if you had good service)? $ 75.00 * 15% = $______

How Much Should You Tip at Restaurants? On Your Own #2 What is a reasonable tip to leave for a restaurant bill of $50.00 (if you had good service)? $ 50.00 * 15% = $_____